Omara gold jewellery sales rose sixfold as revenue and profit surged

OMARA VENTURES INDIA LIMITED reported FY2026 revenue of Rs 45.87 crore, up 95.0% from Rs 23.52 crore in FY2025, while profit after tax rose to Rs 9.37 crore from Rs 2.73 crore. Gold jewellery sales increased more than sixfold to Rs 14.59 crore and accounted for 31.8% of FY2026 revenue.

How did Omara gold jewellery sales change revenue?

Omara’s gold jewellery sales rose by Rs 12.19 crore in FY2026, reaching Rs 14.59 crore from Rs 2.40 crore in FY2025. This 509% increase accounted for 54.5% of the Rs 22.35 crore rise in revenue from operations during FY2026. Revenue had been largely unchanged in FY2025, when it increased to Rs 23.52 crore from Rs 23.19 crore in FY2024.

Gold jewellery’s revenue share increased to 31.8% in FY2026 from 10.2% in FY2025 and 3.7% in FY2024. Solitaire and diamond jewellery remained Omara’s largest category, contributing Rs 30.72 crore, or 67.0% of FY2026 revenue, compared with Rs 21.13 crore a year earlier. Silver coins added Rs 57.01 lakh in FY2026, while the accounts reported no sales in that category for FY2025 or FY2024.

Omara describes its business as retail sales of jewellery, ornaments, bullion and accessories through a retail outlet. It reports a single jewellery segment under Accounting Standard 17, the segment-reporting standard. The financial statements therefore do not provide separate gross margins, unit volumes or customer demand data for gold jewellery, solitaire and diamond jewellery, or silver coins.

Why did Omara’s profit rise faster than revenue?

Omara’s profit after tax increased 242.8% to Rs 9.37 crore in FY2026 from Rs 2.73 crore in FY2025, outpacing the 95.0% rise in revenue. Its net profit ratio, defined in the ratio note as net profit divided by revenue from sale of products, rose to 20.42% from 11.61% in FY2025 and 1.34% in FY2024.

Earnings before interest, tax, depreciation and amortisation, known as EBITDA, increased to Rs 14.43 crore in FY2026 from Rs 4.87 crore in FY2025. EBITDA margin, calculated as EBITDA divided by total revenue, rose to 31.45% from 20.72%. The increase occurred even as finance cost rose to Rs 1.49 crore from Rs 1.00 crore and income and deferred tax expense increased to Rs 3.38 crore from Rs 94.13 lakh.

Other expenses fell to Rs 2.52 crore in FY2026 from Rs 2.71 crore in FY2025, despite the Rs 22.35 crore increase in revenue. Advertising and sales-promotion expense declined to Rs 1.17 crore from Rs 1.21 crore, while rent increased to Rs 66.26 lakh from Rs 61.42 lakh. The accounts do not attribute the higher net profit ratio to a specific product category, so they show a concurrent change in sales mix and profitability rather than a category-level margin result.

What inventory build accompanied Omara’s revenue growth?

Omara’s stock-in-trade inventory rose 77.2% to Rs 43.58 crore at March 31, 2026, from Rs 24.60 crore at March 31, 2025. The Rs 18.99 crore increase was substantially larger than the Rs 1.10 crore inventory increase during FY2025. Purchases of traded goods rose to Rs 46.70 crore in FY2026 from Rs 16.11 crore in FY2025.

Omara values stock in trade at the lower of cost or net realisable value, which means expected selling value after relevant selling costs when that measure is below cost. The FY2026 profit-and-loss statement recorded a negative Rs 18.99 crore change in finished goods and stock in trade because closing inventory exceeded opening inventory. The accounts do not identify the share of the Rs 43.58 crore closing inventory that consisted of gold jewellery.

Inventory turnover increased to 1.35 in FY2026 from 0.98 in FY2025, according to Omara’s ratio analysis. Omara filed stock statements of Rs 43.58 crore with its banks for FY2026, matching the inventory value in its books. The company said the variance between the book and bank stock figures was nil for FY2026, although it noted that period-end purchase invoices and sales returns could affect stock-statement timing.

How did Omara’s collections and supplier balances change?

Omara’s trade receivables declined to Rs 16.97 lakh at March 31, 2026 from Rs 1.47 crore a year earlier. All reported FY2026 receivables were undisputed, considered good and less than six months old under the receivables ageing disclosure. The trade receivables turnover ratio increased to 56.08 in FY2026 from 25.09 in FY2025.

Trade payables declined to Rs 8.80 crore at March 31, 2026 from Rs 11.21 crore at March 31, 2025, despite higher purchases. All FY2026 payables were less than one year old, while Rs 10.29 crore of FY2025 payables to suppliers other than micro, small and medium enterprises were aged between one and two years. Micro, small and medium enterprises are defined under the Micro, Small and Medium Enterprises Development Act, 2006.

The current ratio rose to 1.48 in FY2026 from 1.16 in FY2025 because current assets increased faster than current liabilities, according to Omara’s ratio note. Net working-capital turnover fell to 3.13 from 6.33 because turnover increased by less than capital employed. The reported balances show that the March 2026 inventory build was not matched by a higher trade-receivables balance.

What must hold for Omara’s FY2026 result to continue?

Omara’s FY2026 revenue and profit outcome depended on sales across a larger inventory base and on gold jewellery retaining a meaningful share of the product mix. Gold jewellery rose from Rs 2.40 crore in FY2025 to Rs 14.59 crore in FY2026, while solitaire and diamond jewellery still represented 67.0% of revenue. The accounts do not disclose a future sales target, inventory plan or category-specific profitability measure.

Funding remains relevant because Omara reported total borrowings of Rs 22.43 crore at March 31, 2026 against restated shareholders’ funds of Rs 12.52 crore. The borrowings comprised Rs 16.87 crore of current borrowings and Rs 5.56 crore of non-current borrowings, producing a total-debt-to-equity ratio of 1.79. Finance cost increased by Rs 49.23 lakh in FY2026, while debt-service coverage rose to 0.47 from 0.26 in FY2025.

Conclusion

Omara’s FY2026 acceleration combined a 95.0% increase in revenue with a 242.8% rise in profit after tax. Gold jewellery provided Rs 12.19 crore of the Rs 22.35 crore revenue increase, while the category’s share of sales rose by 21.6 percentage points and inventory expanded to Rs 43.58 crore.

The next financial update should show whether Omara converts the larger inventory position into continuing sales while managing the Rs 22.43 crore borrowing balance and related finance cost. A remaining unresolved matter is category-level profitability and inventory composition, because Omara discloses one jewellery segment rather than separate data for gold, diamond and silver products.